Devnya Cement begins the realization of one of the largest investment projects in Bulgaria during the last 20 years

Devnya Cement officially announces the start up of the construction of the new production line for clinker and cement. After entering into contract with SINOMA/CBMI, the project’s new general subcontractor, on March 29^th, 2012, the official launching ceremony was held on April 10^th.

Prime Minister Boyko Borisov, the Minister of Economy, Energy and Tourism, Delian Dobrev and the Minister of Regional Development Liliana Pavlova attended the official Groundbreaking ceremony. It was opened by Mr. Fabrizio Donega, Dep. General Manager Ciments Français – Italcementi Group and Mr. Nabil Francis, Managing Director of Devnya Cement AD and Vulkan Cement AD with a warm welcome to all officials and guests and a big expression of gratitude for all of the support received from the Bulgarian Government. Minister Dobrev addressed the audience with a short speech on the importance of the company’s committed investment of 160 Million Euro for the construction of the new line in terms of regional economic development.

During the ceremony, the Prime-Minister expressed his interest in the project and wished the company the best of luck in the next 2 years – during the construction period of the new cement production line. Prime Minister Borisov then proceeded to award the Class A Investment Certificate to Mr. Donega and to Mr. Francis before performing the official groundbreaking. In attendance were also the District Governor of Varna Mr. Dancho Simeonov, the Mayor of Varna Mr. Kiril Yordanov as well as the Mayor of Devnya Mr. Atanas Kuzev.

The construction of the new factory will commence immediately bringing the best available technology in cement production to Bulgaria with the most modern and up-to-date process, safety and environmental control systems. The New Production Line for clinker and cement will begin operations in early 2015 with an annual production capacity of approximately 1.5 M/t of cement, making it one of the largest in Europe for the Group.

The total investment by Italcementi Group in this project amounts to approximately 160 million Euro towards the reconstruction and modernization of the cement plant in Devnya – one of the largest industrial investments in Bulgaria in the last quarter of a century, with more than 1000 people employed during the construction phase beginning in mid-2012 and spanning more than two years.

The new cement installation will allow Italcementi Group Bulgaria to continue to meet the cement demand on the domestic market in support of the growing need of infrastructure projects, roads and bridges, as well as a wide variety of residential and non-residential construction works. The strategic location of the new plant, in close proximity to the Varna West Port, will continue to place the company as a key exporter to the surrounding Black Sea region and beyond.

This new project brings with itself numerous economic and environmental benefits including a significant reduction of dust and CO2 emissions as well as an improved energy efficiency and utilization of alternative fuels.

Italcementi is the largest cement producer in the country with the broadest product range on the market. The Bulgarian subsidiary has achieved great results over the years and has made significant investments to improve productivity and efficiency of its operations while significantly reducing the environmental impact.

The Bulgarian operations hold a Certificate for Energy Management System ISO 50001:2011, ISO 14001 – environmental protection policy and system, ISO 9001 – Quality Management Certificate, as well as ISO 14064 – Carbon Footprint, fulfilling the high demands of the domestic market and the European standards.